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Question
Which among the following equation is correct

  1. GDP = GNP + X - M

  2. GNP = GDP + X – M

  3. GNP = GDP + NFIA

  4. NNP = GNP – Depreciation.


Select the correct answer using the codes given below.
Options:
A .  1, 2 and 3
B .  2, 3 and 4
C .  1 and 2
D .  1, 3 and 4
Answer: Option B
Answer: (b)
X = Income from Abroad (income earned and received by nationals within the boundaries of foreign countries).
M = Income received by foreign nationals within the country.
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